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Hinchingbrooke Hospital: Circle To Withdraw From Contract

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http://www.bbc.co.uk/news/uk-england-cambridgeshire-30740956

A company which became the first private firm to manage an NHS hospital says it wants to "withdraw from its contract".

Circle Holdings, which operates Hinchingbrooke Hospital in Cambridgeshire, said its franchise is "no longer viable under current terms".

The move comes amid funding cuts and pressure on the casualty department, Circle said.

The Department of Health said it was "disappointed" in the decision.

Circle took on Hinchingbrooke in early 2012, as it faced closure.

'Unsustainable'

It said there had been unprecedented increases in accident and emergency attendances, a lack of care places for patients awaiting discharge, and that funding had been cut by 10.1% this financial year.

Circle has made payments to the trust totalling about £4.84m and could be required to make a final support payment of approximately £160,000, the firm said.

Looks like the private sector isn't a miracle worker after all.

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Most everybody was persuaded of the case for private companies but when it's come to the crunch they just trough and waste just like the government.

It's worse as so much of it is off balance sheet stuff and can't be seen clearly.

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Most everybody was persuaded of the case for private companies but when it's come to the crunch they just trough and waste just like the government.

It's worse as so much of it is off balance sheet stuff and can't be seen clearly.

So where does it say they received an undisclosed government bailout?

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It said there had been unprecedented increases in accident and emergency attendances, a lack of care places for patients awaiting discharge, and that funding had been cut by 10.1% this financial year.

And that, brothers and sisters, is why we's gonna lay 'em all down to rest as God intended.

'Will the Circle, be unbroken,

bye and bye Lord bye and bye.

There's a better, life a-waiting,

In the sky Lord in the sky.'

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So where does it say they received an undisclosed government bailout?

The deficit (which pretty much doubled year on year under Circle) was bailed a fair few times, but I'm pretty sure this was always disclosed.

That said, I'm not sure it's been satisfactorily explained as to why Circle kept getting their figures wrong (and where all the extra money they asked for went). Bet their managers got paid put it that way.

I'm pretty sure that at one point they offered local GPs a £50 bribe to get them to refer patients for surgery more often, so they could claim more government cash for these ops.

Edit: yep, looking about they got into a bit of hot water for that £50 GP "referral" scheme.

A private company paying doctors to refer people for surgery at their hospital so the tax payer can pick up the bill (and, er, pay them). Jesus wept. Let's hope that's the end of this particular panacea.

Edited by byron78

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I'm pretty sure that at one point they offered local GPs a £50 bribe to get them to refer patients for surgery more often, so they could claim more government cash for these ops.

Edit: yep, looking about they got into a bit of hot water for that £50 GP "referral" scheme.

A private company paying doctors to refer people for surgery at their hospital so the tax payer can pick up the bill (and, er, pay them). Jesus wept. Let's hope that's the end of this particular panacea.

A nice little scam. Have they published any figures on how much profit they extracted during the contract?

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A nice little scam. Have they published any figures on how much profit they extracted during the contract?

Just a guess, but don't expect to see anything this side of the GE. ;)

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Local news were very anti this at the time. I was willing to be open minded, but looks like a total screw up by Lansley and the tories.

I believe it was actually privitised by Labour under the last government.

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So where does it say they received an undisclosed government bailout?

Good point. There's a lot of stuff that seems to go on behind the scenes and doesn't seem to be disclosed.

No doubt the latest claim (bailout by another name) is going on there. They seem to be claiming that they can't cope with the increased numbers and apparently 10.1% funding cut back but presumably it's all in the contract but it's not as if the rapid increase in population trend hasn't been consistent over the last 15 years or so. As usual the article gives little detail.

At the very least some explanation should be offered why they weren't able to predict the increase in numbers and why they couldn't meet the challenge. Maybe they were lied to about the numbers like the rest of the UK people.

Edited by billybong

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